Shearman & Sterling LLP advised Viacom Networks Europe, Inc. and its affiliate Viacom Global (Netherlands) B.V. on their acquisition of 51% of the corporate capital of MTV Italia S.r.l. (“MTVI”) from Telecom Italia Media S.p.A. (the media subsidiary of the Telecom Italia Group). The remaining 49% of the capital of MTVI is already held by the Viacom group, through Viacom Networks Europe, Inc.: MTVI is therefore currently entirely owned by the Viacom group. The definitive purchase price paid by Viacom amounted to €13.4 million. As part of the transaction: (i) Telecom Italia Media waived its €9.3 million financial receivables vis-à-vis MTVI, (ii) MTVI and Telecom Italia Media Broadcasting S.p.A. (a wholly owned subsidiary of Telecom Italia Media) entered into two multi-year new bandwidth agreements for the supply of broadcasting capacity and services, and (iii) MTV Pubblicità S.r.l. (the ad sales wholly owned subsidiary of MTVI) entered into a multi-year ad sales agreement with Telecom Italia, the parent company of the Telecom group.
Viacom is a global leader in global entertainment, operating across television, motion pictures and a wide range of digital media brands, part of a group that includes the multiplatform properties of MTV Networks, BET Networks and Paramount Pictures.
Telecom Italia Media is the Telecom Italia Group’s company active in the media broadcasting sector, where it operates as network operator through its wholly owned subsidiary Telecom Italia Media Broadcasting.
MTV Italia is a 2001 joint venture between Telecom Italia Media and Viacom Networks Europe, Inc. and is active in the television market, primarily on digital terrestrial free-to-air television through the (former analog) national channel “MTV” and the digital native channel “MTV Music,” as well as on the satellite pay TV platform through the “MTV Hits” and “MTV Classic” channels, and through several multimedia services.
The Shearman & Sterling team included partner Tobia Croff (Milan-Capital Markets/Mergers & Acquisitions) and associate Maria Antonietta Romeo (Rome-Capital Markets/Mergers & Acquisitions).